Prohibited  Sector: The following  are the sector on which FDI is prohibited

a)    Lottery Business including Government/private lottery, online, lotteries, etc.

b)    Gambling and betting including casinos etc.

c)    Chit Funds

d)    Nidhi Company

e)    Trading in Transferable Development Rights (TDRs)

f)    Real Estate Business or Construction of Farm Housesg)    Manufacturing of cigars, cheroots, cigarillos and cigarettes, of Tobacco or or tobacco substitutes.

h)    Activities / sectors  not open to private  sector investment i.e. (i) atomic Energy and (ii) Railway operations (other than permitted in para 5.2.) 

KIND OF INVESTMENT

Following are the instruments in which an investor can invest in India.

1)    Equity Shares

2)    Preference Shares / debentures

3)    Acquisition of Warrant

4)    Partly Paid shares

5)    Foreign Currency convertible Bond Depository Receipts.